Scribd Logo
Upload

Welcome to Scribd!

  • Persistent Systems: Equity Research - Model

    Uploaded by

    Naman Malhotra
    19 views9 pages
    This document discusses an equity research model for Persistent Systems. It provides an overview of key sections of an annual report for investment analysis, including the chairman's speech, director's report, management discussion and analysis, industry report, financial statements, and historical data. It then outlines estimates and forecasts that will be used to value the company and determine if its current market price represents over 15% intrinsic value, which would merit a buy recommendation. Key elements that will be modeled include the income statement, balance sheet, cash flows, and valuation metrics like discounted cash flow and relative valuation.

    Original Description:

    random

    Original Title

    Persistent-FM-01 (1)

    Copyright

    © © All Rights Reserved

    Available Formats

    XLSX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Report this Document
    This document discusses an equity research model for Persistent Systems. It provides an overview of key sections of an annual report for investment analysis, including the chairman's speech, director's report, management discussion and analysis, industry report, financial statements, and historical data. It then outlines estimates and forecasts that will be used to value the company and determine if its current market price represents over 15% intrinsic value, which would merit a buy recommendation. Key elements that will be modeled include the income statement, balance sheet, cash flows, and valuation metrics like discounted cash flow and relative valuation.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as xlsx, pdf, or txt
    19 views9 pages

    Persistent Systems: Equity Research - Model

    Uploaded by

    Naman Malhotra
    This document discusses an equity research model for Persistent Systems. It provides an overview of key sections of an annual report for investment analysis, including the chairman's speech, director's report, management discussion and analysis, industry report, financial statements, and historical data. It then outlines estimates and forecasts that will be used to value the company and determine if its current market price represents over 15% intrinsic value, which would merit a buy recommendation. Key elements that will be modeled include the income statement, balance sheet, cash flows, and valuation metrics like discounted cash flow and relative valuation.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as xlsx, pdf, or txt
    of 9

    PERSISTENT SYSTEMS

    EQUITY RESEARCH - MODEL


    DISCUSSION ON EQUITY RESEARCH MODEL - PERSISTENT SYSTEMS
    Investment stocks

    fundamental approach

    decision should I invest in the stock at the CMP

    value of company = Intrinsic Value > CMP more than 15%

    Project Company
    starting t = 0 does not start at t =0
    life is finite life is infinite (going concern)
    assumptions were given to us we have figure out the drivers and take assumptions

    IMPORTANT SECTIONS OF AN ANNUAL REPORT --> INVESTMENT ANALYSIS


    1 CHAIRMAN'S SPEECH VISION & MISSION
    2 DIRECTOR'S REPORT OPERATIONAL EXCELLENCE
    3 MANAGEMENT DISCUSSION & ANALYSIS (MDA) COMMENTARY ON LATEST RESULTS
    4 INDUSTRY REPORT DEMAND & SUPPLY OF THE SECTOR
    5 FINANCIAL STATEMENT DATA (IS/BS/CFS)
    REVENUE
    DRIVERS

    IS

    COST DRIVERS

    CFS

    ASSET
    SCHEDULE

    BS

    BALANCE SHEET
    RATIO

    HISTORICAL
    DATA

    ANNUAL
    REPORT
    ESTIMATES OF
    CASH FLOW VALUATION

    Intirinsic Price >


    CMP

    +15% BUY
    FORECASTS INVESTMENT
    DECISION
    DCF

    RELATIVE
    VALUATION
    Persistent Systems
    Layout
    (All numbers are INR Million, except per share data)
    (Red for Assumptions, Blue for Actual Data, Black for Calculations)
    Date Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-18
    Year 2013-A 2014-A 2015-A 2016-A 2017-A 2018-A
    Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
    2019-E 2020-E 2021-E 2022-E 2023-E 2024-E
    Persistent Systems
    Income Statement
    (All numbers are INR Million, except per share data)
    (Red for Assumptions, Blue for Actual Data, Black for Calculations)
    Date Mar-13 Mar-14 Mar-15 Mar-16 Mar-17
    Year 2013-A 2014-A 2015-A 2016-A 2017-A

    Revenue from Operations


    Other Income
    Total Sales

    Employee Benefits Expense


    Cost of Professionals
    COGS

    Gross Profit

    Other Expenses
    EBITDA

    Depreciation and Amortisation


    EBIT

    Interest Expense
    EBT

    Exceptional Items
    PBT

    Tax Expense
    PAT

    EPS
    Basic
    Diluted

    Number of Shares
    Basic
    Diluted
    Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24
    2018-A 2019-E 2020-E 2021-E 2022-E 2023-E 2024-E

    30,337
    1,191
    31,528

    18,316
    3,181
    21,497

    10,031

    4,153
    5,878

    1,585
    4,293

    1
    4,293

    -
    4,293

    1,062
    3,231

    40.39
    40.39

    80
    80

    You might also like